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Kyoritsu Computermmunication Co (TSE:3670) Gross Margin % : 32.53% (As of Dec. 2023)


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What is Kyoritsu Computermmunication Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Kyoritsu Computermmunication Co's Gross Profit for the three months ended in Dec. 2023 was 円503 Mil. Kyoritsu Computermmunication Co's Revenue for the three months ended in Dec. 2023 was 円1,545 Mil. Therefore, Kyoritsu Computermmunication Co's Gross Margin % for the quarter that ended in Dec. 2023 was 32.53%.


The historical rank and industry rank for Kyoritsu Computermmunication Co's Gross Margin % or its related term are showing as below:

TSE:3670' s Gross Margin % Range Over the Past 10 Years
Min: 30.12   Med: 33.4   Max: 41.56
Current: 34.31


During the past 10 years, the highest Gross Margin % of Kyoritsu Computermmunication Co was 41.56%. The lowest was 30.12%. And the median was 33.40%.

TSE:3670's Gross Margin % is ranked worse than
59.55% of 2628 companies
in the Software industry
Industry Median: 41.73 vs TSE:3670: 34.31

Kyoritsu Computermmunication Co had a gross margin of 32.53% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Kyoritsu Computermmunication Co was 5.20% per year.


Kyoritsu Computermmunication Co Gross Margin % Historical Data

The historical data trend for Kyoritsu Computermmunication Co's Gross Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Kyoritsu Computermmunication Co Gross Margin % Chart

Kyoritsu Computermmunication Co Annual Data
Trend Feb12 Feb13 Feb14 Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.12 32.32 33.46 36.39 38.82

Kyoritsu Computermmunication Co Quarterly Data
Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 33.19 35.00 38.12 32.74 32.53

Competitive Comparison of Kyoritsu Computermmunication Co's Gross Margin %

For the Information Technology Services subindustry, Kyoritsu Computermmunication Co's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Kyoritsu Computermmunication Co's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Kyoritsu Computermmunication Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Kyoritsu Computermmunication Co's Gross Margin % falls into.



Kyoritsu Computermmunication Co Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Kyoritsu Computermmunication Co's Gross Margin for the fiscal year that ended in Feb. 2021 is calculated as

Gross Margin % (A: Feb. 2021 )=Gross Profit (A: Feb. 2021 ) / Revenue (A: Feb. 2021 )
=1750.5 / 4509.319
=(Revenue - Cost of Goods Sold) / Revenue
=(4509.319 - 2758.779) / 4509.319
=38.82 %

Kyoritsu Computermmunication Co's Gross Margin for the quarter that ended in Dec. 2023 is calculated as


Gross Margin % (Q: Dec. 2023 )=Gross Profit (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=502.7 / 1545.38
=(Revenue - Cost of Goods Sold) / Revenue
=(1545.38 - 1042.632) / 1545.38
=32.53 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.


Kyoritsu Computermmunication Co  (TSE:3670) Gross Margin % Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

Kyoritsu Computermmunication Co had a gross margin of 32.53% for the quarter that ended in Dec. 2023 => Competition eroding margins


Be Aware

If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.


Kyoritsu Computermmunication Co Gross Margin % Related Terms

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Kyoritsu Computermmunication Co (TSE:3670) Business Description

Traded in Other Exchanges
N/A
Address
Daiwa A Hamamatsucho Building, 1-9-10 Hamamatsucho, Minato-Ku, Tokyo, JPN, 105-0013
Kyoritsu Computer & Communication Co Ltd provides management information solutions for sales, construction, education and operation services, and others. Its solutions and software are used in promoting management activities for corporate customers. Geographically it operates through the region of Japan.

Kyoritsu Computermmunication Co (TSE:3670) Headlines

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